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letter of credit

The correct spelling is letter of credit.

How to pronounce letter of credit

noun

Say it like: Let-ter- of- cr-edi-t

The correct spelling is letter of credit. A document, used primarily in trade finance and issued generally by a financial institution, in which the institution promises to pay debts up to a certain limit to be acquired…

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Definition

noun

  1. 1.A document, used primarily in trade finance and issued generally by a financial institution, in which the institution promises to pay debts up to a certain limit to be acquired by the beneficiary against delivery of documents specified in the letter.

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